What Warren Buffet Thinks About Real Estate Investing in 2017 and Beyond

This May at the Berkshire Hathaway Annual Meeting, Warren Buffet had a number of good things to say about real estate investing – both in 2017 and beyond. As a longtime investment icon, Buffett has been with the company that’s behind “the most expensive stock on the market” for nearly 50 years and he’s known for offering market advice that has been known to move the needle for investors in the know.

Warren Buffet Real Estate Predictions 2017

At the annual meeting, Buffett fielded questions from a variety of reporters, including Mindy Jensen of Bigger Pockets, who asked him about the future of real estate investing and what to expect from the market throughout the rest of this year and in the future:

Q: How do you feel about the real estate market today?

A: Now is still a good time to buy a house. We aren’t paying bubble prices and I don’t see a nationwide bubble in residential real estate at all.

Q: Will 2008 repeat itself?

A: People are not paying bubble prices for real estate. I don’t think we will have a repeat of that.

Also known as the “Oracle of Omaha,” Warren Buffet has been sweet on buying real estate for years – even during the economic downturn of 2007-2008, in fact – and he hasn’t been shy about doling out advice for investors, which everyone from beginners to the most seasoned are often all too glad they followed. This year, we learned that Buffett is definitely not concerned about the post-election boost Wall Street received after the election, and he also feels very confident about the future of real estate investments.

When it comes to investing in real estate, there are a few Warren Buffett quotes that really hit home. One that comes to mind is, “You don’t need to be an expert in order to achieve satisfactory investment returns.” In other words, don’t be afraid to reach out to the experts – such as real estate investing companies – that can help you navigate unfamiliar territory and ensure that you find a real estate investment with excellent ROI. Also, don’t be afraid to step outside of your comfort zone.

“As a real estate investor, you have to be willing to invest outside of your home market and trust your team if you want to achieve superior returns,” Jensen wrote. "Don’t let proximity dictate your acquisition targets.”

Finally, Buffett also advises buyers to “focus on the future productivity of the asset you are considering,” which is especially true for income producing properties and other types of real estate, including condos and vacation home rentals for sale that are located in the world’s top destinations, such as the Caribbean beach towns of Playa del Carmen, Tulum or Puerto Aventuras, which lie just south of Cancun in Mexico’s Riviera Maya.

Do you agree with Warren Buffet’s assessment of the real estate investment market? Why or why not? Let’s talk about it in the comments section below.